AMERIGO RESOURCES LTD (ARG.CA) Stock Fundamental Analysis
TSX:ARG - Toronto Stock Exchange - CA03074G1090 - Common Stock - Currency: CAD
Overall ARG gets a fundamental rating of 7 out of 10. We evaluated ARG against 806 industry peers in the Metals & Mining industry. Both the health and profitability get an excellent rating, making ARG a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on ARG. ARG also has an excellent dividend rating. With these ratings, ARG could be worth investigating further for value and dividend and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year ARG was profitable.
ARG had a positive operating cash flow in the past year.
Each year in the past 5 years ARG has been profitable.
ARG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ARG (9.31%) is better than 93.30% of its industry peers.
ARG's Return On Equity of 17.61% is amongst the best of the industry. ARG outperforms 93.80% of its industry peers.
The Return On Invested Capital of ARG (15.53%) is better than 97.15% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ARG is below the industry average of 12.40%.
The last Return On Invested Capital (15.53%) for ARG is above the 3 year average (8.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.31% | ||
| ROE | 17.61% | ||
| ROIC | 15.53% |
ROA(3y)4.32%
ROA(5y)6.06%
ROE(3y)8.42%
ROE(5y)11.89%
ROIC(3y)8.34%
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 9.51%, ARG belongs to the top of the industry, outperforming 92.56% of the companies in the same industry.
ARG's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 20.77%, ARG belongs to the best of the industry, outperforming 92.68% of the companies in the same industry.
In the last couple of years the Operating Margin of ARG has declined.
The Gross Margin of ARG (24.63%) is better than 89.70% of its industry peers.
In the last couple of years the Gross Margin of ARG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.77% | ||
| PM (TTM) | 9.51% | ||
| GM | 24.63% |
OM growth 3Y-16.35%
OM growth 5YN/A
PM growth 3Y-20.62%
PM growth 5YN/A
GM growth 3Y-13.28%
GM growth 5Y134.26%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ARG is creating value.
ARG has about the same amout of shares outstanding than it did 1 year ago.
ARG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ARG has been reduced compared to a year ago.
2.2 Solvency
ARG has an Altman-Z score of 3.43. This indicates that ARG is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of ARG (3.43) is better than 61.29% of its industry peers.
The Debt to FCF ratio of ARG is 0.26, which is an excellent value as it means it would take ARG, only 0.26 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.26, ARG belongs to the top of the industry, outperforming 96.53% of the companies in the same industry.
ARG has a Debt/Equity ratio of 0.03. This is a healthy value indicating a solid balance between debt and equity.
ARG's Debt to Equity ratio of 0.03 is in line compared to the rest of the industry. ARG outperforms 43.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 3.43 |
ROIC/WACC1.83
WACC8.49%
2.3 Liquidity
ARG has a Current Ratio of 0.91. This is a bad value and indicates that ARG is not financially healthy enough and could expect problems in meeting its short term obligations.
ARG has a Current ratio of 0.91. This is comparable to the rest of the industry: ARG outperforms 40.94% of its industry peers.
ARG has a Quick Ratio of 0.91. This is a bad value and indicates that ARG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.77, ARG is not doing good in the industry: 61.17% of the companies in the same industry are doing better.
The current and quick ratio evaluation for ARG is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
ARG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 550.00%, which is quite impressive.
Measured over the past years, ARG shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -18.96% on average per year.
Looking at the last year, ARG shows a very strong growth in Revenue. The Revenue has grown by 22.43%.
Measured over the past years, ARG shows a quite strong growth in Revenue. The Revenue has been growing by 9.98% on average per year.
EPS 1Y (TTM)550%
EPS 3Y-18.96%
EPS 5YN/A
EPS Q2Q%-16.67%
Revenue 1Y (TTM)22.43%
Revenue growth 3Y-1.15%
Revenue growth 5Y9.98%
Sales Q2Q%-1.46%
3.2 Future
ARG is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.37% yearly.
Based on estimates for the next years, ARG will show a small growth in Revenue. The Revenue will grow by 3.28% on average per year.
EPS Next Y8.77%
EPS Next 2Y39.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year3.74%
Revenue Next 2Y3.28%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.94, the valuation of ARG can be described as reasonable.
Based on the Price/Earnings ratio, ARG is valued cheaper than 93.80% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.82, ARG is valued rather cheaply.
With a Price/Forward Earnings ratio of 6.14, the valuation of ARG can be described as very cheap.
Based on the Price/Forward Earnings ratio, ARG is valued cheaply inside the industry as 94.91% of the companies are valued more expensively.
ARG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.21.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.94 | ||
| Fwd PE | 6.14 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ARG indicates a rather cheap valuation: ARG is cheaper than 97.15% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ARG is valued cheaper than 98.26% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.86 | ||
| EV/EBITDA | 3.71 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ARG has an outstanding profitability rating, which may justify a higher PE ratio.
ARG's earnings are expected to grow with 39.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.36
PEG (5Y)N/A
EPS Next 2Y39.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ARG has a Yearly Dividend Yield of 5.58%, which is a nice return.
Compared to an average industry Dividend Yield of 16.91, ARG pays a better dividend. On top of this ARG pays more dividend than 99.13% of the companies listed in the same industry.
ARG's Dividend Yield is rather good when compared to the S&P500 average which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
5.2 History
The dividend of ARG is nicely growing with an annual growth rate of 24.22%!
ARG has paid a dividend for at least 10 years, which is a reliable track record.
ARG has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)24.22%
Div Incr Years1
Div Non Decr Years3
5.3 Sustainability
104.92% of the earnings are spent on dividend by ARG. This is not a sustainable payout ratio.
The dividend of ARG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP104.92%
EPS Next 2Y39.37%
EPS Next 3YN/A
TSX:ARG (8/1/2025, 7:00:00 PM)
2.15
0 (0%)
Chartmill FA Rating
GICS SectorMaterials
GICS IndustryGroupMaterials
GICS IndustryMetals & Mining
Earnings (Last)
Earnings (Next)
Inst Owners24.9%
Inst Owner ChangeN/A
Ins Owners14.03%
Ins Owner ChangeN/A
Market Cap347.16M
Analysts84
Price Target3.06 (42.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.58% |
Yearly Dividend0.16
Dividend Growth(5Y)24.22%
DP104.92%
Div Incr Years1
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)N/A
Avg EPS beat(2)N/A
Min EPS beat(2)N/A
Max EPS beat(2)N/A
EPS beat(4)N/A
Avg EPS beat(4)N/A
Min EPS beat(4)N/A
Max EPS beat(4)N/A
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-5%
Min Revenue beat(2)-11.53%
Max Revenue beat(2)1.52%
Revenue beat(4)2
Avg Revenue beat(4)-1.93%
Min Revenue beat(4)-11.53%
Max Revenue beat(4)4.76%
Revenue beat(8)3
Avg Revenue beat(8)-2.41%
Revenue beat(12)5
Avg Revenue beat(12)-1.33%
Revenue beat(16)5
Avg Revenue beat(16)-1.42%
PT rev (1m)19.77%
PT rev (3m)19.77%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)1.66%
Revenue NY rev (3m)3.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.94 | ||
| Fwd PE | 6.14 | ||
| P/S | 1.3 | ||
| P/FCF | 5.86 | ||
| P/OCF | 4.38 | ||
| P/B | 2.41 | ||
| P/tB | 2.48 | ||
| EV/EBITDA | 3.71 |
EPS(TTM)0.18
EY8.37%
EPS(NY)0.35
Fwd EY16.29%
FCF(TTM)0.37
FCFY17.05%
OCF(TTM)0.49
OCFY22.82%
SpS1.65
BVpS0.89
TBVpS0.87
PEG (NY)1.36
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.31% | ||
| ROE | 17.61% | ||
| ROCE | 28.1% | ||
| ROIC | 15.53% | ||
| ROICexc | 19.28% | ||
| ROICexgc | 19.78% | ||
| OM | 20.77% | ||
| PM (TTM) | 9.51% | ||
| GM | 24.63% | ||
| FCFM | 22.22% |
ROA(3y)4.32%
ROA(5y)6.06%
ROE(3y)8.42%
ROE(5y)11.89%
ROIC(3y)8.34%
ROIC(5y)N/A
ROICexc(3y)10.81%
ROICexc(5y)N/A
ROICexgc(3y)11.1%
ROICexgc(5y)N/A
ROCE(3y)15.09%
ROCE(5y)N/A
ROICexcg growth 3Y-6.54%
ROICexcg growth 5YN/A
ROICexc growth 3Y-6.66%
ROICexc growth 5YN/A
OM growth 3Y-16.35%
OM growth 5YN/A
PM growth 3Y-20.62%
PM growth 5YN/A
GM growth 3Y-13.28%
GM growth 5Y134.26%
F-Score9
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.03 | ||
| Debt/FCF | 0.26 | ||
| Debt/EBITDA | 0.05 | ||
| Cap/Depr | 62.58% | ||
| Cap/Sales | 7.51% | ||
| Interest Coverage | 31.48 | ||
| Cash Conversion | 90.71% | ||
| Profit Quality | 233.62% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 3.43 |
F-Score9
WACC8.49%
ROIC/WACC1.83
Cap/Depr(3y)56.05%
Cap/Depr(5y)50.06%
Cap/Sales(3y)7.03%
Cap/Sales(5y)5.9%
Profit Quality(3y)227.23%
Profit Quality(5y)233.17%
High Growth Momentum
Growth
EPS 1Y (TTM)550%
EPS 3Y-18.96%
EPS 5YN/A
EPS Q2Q%-16.67%
EPS Next Y8.77%
EPS Next 2Y39.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)22.43%
Revenue growth 3Y-1.15%
Revenue growth 5Y9.98%
Sales Q2Q%-1.46%
Revenue Next Year3.74%
Revenue Next 2Y3.28%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y1739.14%
EBIT growth 3Y-17.31%
EBIT growth 5YN/A
EBIT Next Year85.18%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y391.24%
FCF growth 3Y-14.58%
FCF growth 5YN/A
OCF growth 1Y179.11%
OCF growth 3Y-13.96%
OCF growth 5Y43.83%